January 18, 2019 | AtoZ Markets - Cyprus financial regulator CySEC today announced that, in accordance with their decision taken at the meeting on October 22, 2018, it completely revoked the investment firm (CIF) license PFX Financial Professionals Ltd, which manages the FXFINPRO Capital brand.
Company was not following certain CySEC obligations
FXFINPRO Capital is a regulated European ECN/STP broker providing traders and investors access to the global financial markets. According to the declaration of regulation, the FXFINPRO license, which has registration number 193/13, was canceled due to the actions of the company and its managers, which the Cyprus financial authority considered potentially non-compliant with their regulatory obligations. The broker’s website shows that FXFINPRO has already made changes to its page and removed any links related to the CySEC authorization and supervision. The company is also obliged to stop providing its services through the Russian domain http://www.finproinvest.ru.
FXFINPRO Capital is given three months to fix issues
The Cyprus Securities and Exchange Commission, financial regulations and operations comply with the European MiFID financial harmonization law. A significant number of overseas retail forex brokers and binary options brokers operating in Cyprus have obtained registration from CySEC.
The Cypriot financial watchdog periodically issues warnings regarding fraudulent brokerage companies operating in the country without licence.
According to the financial authority, FXFINPRO Capital was flagged for non-compliance with Section 28 (1) of the Law which concerns people who effectively lead their business, as well as for alleged violation of Section 36 (1) of the Law (“Conduct of Business Obligations”). when providing investment services to clients). In addition, FXFINPRO, according to the financial regulator, does not comply with section 114 regarding the presentation of its financial accounts, as well as section 139 (1), which requires regulated firms to provide correct, complete and accurate information to CySEC. FXFINPRO Capital will have to settle its obligations related to the termination of investment services in the next three months since the day of licence revocation. During this period the company remains under supervision of the Cyprus financial watchdog.
In accordance with the Cyprus regulatory framework, the company must return all remaining balances to the clients and process all their complaints. In addition, FXFINPRO must provide evidence from its external auditor that it has no deferred obligations, and it must include information about each of the company's customers.
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